Eligibility Credits

• Every employee that earns at least $4,480 in a year qualifies for four Social Security credits.Photos.com/PhotoObjects.net/Getty Images
  
  Every worker that pays into the Social Security system qualifies for a benefit once they receive 40 working credits. It takes 40 credits for anyone born after 1929 to receive retirement benefits. Prior to 1978, credits were reported quarterly to the Social Security Administration. After 1978 reporting was changed to annually and took $1,120 in earnings for each credit. You can earn four credits in whatever amount of time it takes to earn $4,480. Eligibility for survivor benefits depends on the age at death of the covered individual, but benefits can be payable with as little as six accumulated credits.
  
  

Spousal Benefits

• Remarriage does not necessarily preclude collecting on an ex-spouses Social Security benefit.Marc Debnam/Digital Vision/Getty Images
  
  Full retirement benefits require 40 working credits. A spouse, however, is eligible for 50 percent of the covered individual's benefit regardless of whether she worked or not. If the covered individual collects before full retirement age, his benefit and the spousal benefit are reduced. Full retirement age for anyone born after 1962 is 67. Benefits collected at age 62 are reduced by 30 percent from the full retirement benefit. The spouse would have to wait until full retirement age to receive a full benefit, which is still 50 percent of the covered spouses benefit.
  
  

Ex-Spousal Benefits

• Only after the second marriage ends can an ex-spouse collect from a first spouse's Social Security benefit.Jupiterimages/Photos.com/Getty Images
  
  A couple who gets divorced does not necessarily sever their financial ties, at least regarding Social Security. If the marriage lasted 10 years or more, an ex-spouse can receive retirement benefits based on the other's earnings. Collecting doesn't impact the covered individual's benefit, although if collected under a survivor's benefit, it can impact how much is payable to surviving children based on the maximum family benefit rules. If the ex-spouse hasn't remarried, she has a right to receive the covered individual's spousal benefit, even if that individual has remarried and his current spouse is collecting on his benefit.
  
  

Widow's Benefits

• Many survivors take the early Social Security payment to bridge the gap to higher retirement benefits.Ryan McVay/Photodisc/Getty Images
  
  So your ex-wife, to whom you were married 12 years, remarried. Then her husband dies. Without any children under age 16, there are no benefits payable to her. When she turns 60, however, she is entitled to collect a widow's benefit based on her dead husband's benefit payable. Since she is choosing to collect at age 60, she receives only 71.5 percent of her full spousal benefit. If she waits until full retirement age, she can receive full retirement benefits. For example, if her husband's full benefit would have been $2,000 per month and she decides to collect at age 60, she would receive $715 [($2,000 x .50) x .715]. If he started collecting early and only received 80 percent of his full benefit, her benefit would be further reduced to $572 [ ($2,000 x .8) x (.5) x (.715)]. Collecting at age 60 always results in a 28.5 percent decrease in benefit payable.
  
  

Switching Benefit Options

• Although the website is helpful, it is better to speak to a social security representative about your options.Frederick M. Brown/Getty Images Entertainment/Getty Images
  
  Finally we come to switching from the widow's benefit to the ex-spouse's benefit. Recipients are allowed to choose the maximum amount of benefit available. So a widow can switch either to the ex-spouse's benefit calculation or her own accumulated full-retirement benefit, whichever is higher. For example, let's say the widow's benefit calculated out to $715 in the first example. But her ex-husband had waited until full retirement and maxed out his benefit at $2,354. The ex-spouse full benefit would be $1,177 ($2,354 x .5). Switching would give her a $462 increase in benefit. If she had accumulated her own higher benefit by working after the divorce, she could switch to that at any time. With all the different variables, it is best to meet with a Social Security representative before making a decision.